Report Overview

2023

Base Year

2018-2023

Historical Year

2024-2032

Forecast Year

Global Tea Market Size

The global tea market reached a value of approximately USD 52.83 billion in 2023. The market is projected to grow at a CAGR of 6.2% between 2024 and 2032, reaching a value of around USD 90.78 billion by 2032.

Tea Market Outlook

  • China's tea production in 2022, as reported by the Tea Board, amounted to 3090.00 M.kg, reflecting substantial growth.
  • The Tea Board reported apparent global tea consumption at 6173 M.kgs in 2021, compared to 5949 M.kgs in 2020.
  • As per industryreports, Argentina exported 71.00 M.kg of tea in 2022, compared to 64.20 M.kg in 2021.

Tea Market

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Tea Market Growth

The growth of the tea market is fueled by the increase in international trade, enabling the discovery of unique tea varieties and flavors. Global trade and distribution channels facilitate product exchange, enhancing market accessibility and diversity.

Tea holds cultural significance in many societies worldwide, shaping social customs, rituals, and traditions. Cultural practices surrounding tea consumption influence tea demand and drive the adoption of tea products in different regions. As per the Tea Board, India's tea production rate was 1365.23 M.kg in 2022, compared to 1343.06 M.kg in 2021, indicating continued growth in the country's tea market.

Key Trends and Recent Developments

Digitalization and technology, tea tourism and experiences, functional and specialty teas, and premiumization are the major trends impacting the tea market value.

May 29, 2024

Lipton Teas and Infusions debuted its redesigned range of green tea bags, blending smooth fruit flavours with functional benefits from naturally occurring flavonoids. It is available in 20-count and 40-count packages, sold at major US retailers.

March 14, 2024

Tata Tea Chakra Gold unveiled its latest offering – Tata Tea Chakra Gold Premium Leaf Tea. Available in various sizes across Tamil Nadu stores, the tea promises an elevated drinking experience for consumers.

January 24, 2024

Chai Sutta Bar launched Maatea, a tea brand offering natural, premium quality tea at an accessible price. Started their venture in Indore, Madhya Pradesh, and they gradually expanded to Rajasthan and Chhattisgarh.

August 18, 2023

Dilmah, Sri Lanka’s tea brand, introduced its luxury artisanal tea collection in 650 Coles supermarkets nationwide. Named '85 Reserve,' this premium tea range is available in tin caddies, each containing 20 large tea bags.

Digitalization and Technology

Digital platforms and tech solutions optimize tea processes from production to marketing, enhancing efficiency and consumer engagement, and catalysing market growth through streamlined operations and targeted outreach.

Tea Tourism and Experiences

Tea tourism, including visits to tea estates and immersive tea-tasting experiences, is becoming increasingly popular, driving demand for high-quality teas and unique tea-related experiences.

Functional and Specialty Teas

The rising demand for functional beverages is shaping the tea market dynamics and trends. This has spurred the creation of teas enhanced with health-promoting ingredients like adaptogens, probiotics, and CBD, catering to diverse consumer wellness preferences.

Premiumization

Consumers exhibit a readiness to invest in premium and speciality teas, comprising artisanal blends, single-origin varieties, and teas featuring distinct flavours or health-boosting elements, reflecting evolving preferences.

Tea Market Trends

The tea industry's expansion can be attributed to the evolving consumer preferences, marked by a shift towards healthier beverage choices and a penchant for premium experiences. Moreover, the widening availability of tea through various distribution channels, including supermarkets, speciality tea shops, and online platforms, has significantly increased its accessibility to consumers worldwide.

The integration of tea into cocktail recipes and mixology has extended its appeal beyond its traditional consumer base, contributing further to the industry's growth trajectory. Furthermore, increased awareness of the health benefits of tea, such as antioxidants and potential disease prevention, is driving demand, especially for herbal and green teas.

Global Tea Market By segments

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Tea Industry Segmentation

“Global Tea Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup by Source

  • Organic
  • Conventional

Market Breakup by Type

  • Black
  • Green
  • Oolong
  • White
  • Others

Market Breakup by Packaging Type

  • Plastic Containers
  • Loose Tea
  • Paper Boards
  • Aluminum Tins
  • Tea Bag
  • Others

Market Breakup by Application

  • Residential
  • Commercial

Market Breakup by Distribution Channel

  • Supermarkets and Hypermarkets
  • Convenience Stores
  • Specialty Stores
  • Online
  • Others

Market Breakup by Region

  • North America
  • Europe
  • Asia Pacific
  • Latin America
  • Middle East and Africa

Tea Market Share

Organic sources are impacting the tea market revenue by offering higher quality and better flavour profiles.

As per tea industry analysis, organic tea is perceived as a healthier option as it is grown without the use of synthetic pesticides, fertilizers, or genetically modified organisms (GMOs). Organic tea farming practices promote environmental sustainability by minimizing the use of synthetic chemicals and fertilizers, which can harm soil health, water quality, and biodiversity.

Conventional tea production often takes place on large-scale plantations, especially in countries like India, China, and Kenya. These large-scale operations benefit from economies of scale, allowing for efficient production and distribution of tea on a global scale.

Tea bags contribute to the demand of tea market by offering convenience to consumers, allowing for quick and easy preparation of tea without the need for additional tools or equipment.

Tea bags provide consistent portion sizes, ensuring that consumers can easily control the strength and flavor of their tea with each brew.

Aluminium tins provide a barrier against external elements such as odors, moisture, and contaminants, ensuring that the tea remains pristine until it is opened by the consumer.

Use of tea in residential sector allows consumers to customize their tea experience according to their preferences.

The availability of tea brewing appliances and accessories, such as electric kettles, teapots, and infusers, has made it easier for consumers to brew tea at home, thus impacting the tea demand forecast.

Commercial applications fuel the market by addressing varied consumer preferences in sectors like hospitality, food service, retail, and events, thus boosting consumption and market growth.

Competitive Landscape

The companies are a provider of tea products, loose-leaf teas, green teas, coffee, liquid beverages, and other products.

Dilmah Ceylon Tea Company PLC.: Established in 1985 and headquartered in Peliyagoda, Sri Lanka, Dilmah excels in providing global tea enthusiasts with a unique tea experience, characterized by innovation and quality commitment.

Barry’s Tea: Founded in 1901 and based in Cork, Ireland. The tea product offerings include signature blends, loose-leaf teas, a new infusion range, green teas, fruit and herbal infusions, and speciality teas.

Tata Consumer Products Limited: Founded in 2020 and based in Kolkata, India. It is an integrated Food & Beverage company. The company’s offerings include tea, coffee, liquid beverages, foods, solubles, and out-of-home.

The Hain Celestial Group, Inc.: Founded in 1993 and based in Hoboken, New Jersey. The company offers products across snacks, beverages, and personal care, sold in over 75 countries around the world.

Other global tea market key players are Unilever Plc, Associated British Foods Plc, ITO EN, LTD., Taiwan Tea Corporation, SAC Leão, and Tenfu's TEA, among others.

tea market by region

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Tea Market Regional Analysis

Asia Pacific stands out as one of the primary regional markets, fueled by tea's cultural significance. China leads globally in both tea production and consumption, offering a diverse range of teas like green, black, and oolong. With deep-rooted tea culture and regional traditions, China drives market demand. India, another key producer, and consumer is renowned for its Assam, Darjeeling, and Nilgiri teas. Globally, India is the second-largest producer of tea.

The tea market in Europe is expected to experience notable growth, supported by its extensive tea heritage. The country is expected to see significant growth in the coming years, buoyed by the enduring popularity of black tea. This preference is particularly strong in countries such as the United Kingdom, Ireland, and Russia.

Key Highlights of the Report

REPORT FEATURES DETAILS
Base Year 2023
Historical Period 2018-2023
Forecast Period 2024-2032
Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment:

  • Source
  • Type
  • Packaging Type
  • Application
  • Distribution Channel
  • Region
Breakup by Source
  • Organic
  • Conventional
Breakup by Type
  • Black
  • Green
  • Oolong
  • White
  • Others
Breakup by Packaging
  • Plastic Containers
  • Loose Tea
  • Paper Boards
  • Aluminum Tins
  • Tea Bag
  • Others
Breakup by Application
  • Residential
  • Commercial
Breakup by Distribution Channel
  • Supermarkets/Hypermarkets
  • Convenience Stores
  • Specialty Stores
  • Online
  • Others
Breakup by Region
  • North America
    • United States of America 
    • Canada
  • Europe
    • United Kingdom
    • Germany
    • France
    • Italy
    • Others
  • Asia Pacific
    • China
    • Japan
    • India
    • ASEAN
    • Australia
    • Others
  • Latin America
    • Brazil
    • Argentina
    • Mexico
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • United Arab Emirates
    • Nigeria
    • South Africa
    • Others
Market Dynamics
  • SWOT Analysis
  • Porter's Five Forces Analysis
  • Key Indicators for Demand
  • Key Indicators for Price
Competitive Landscape
  • Market Structure
  • Company Profiles
    • Company Overview
    • Product Portfolio
    • Demographic Reach and Achievements
    • Certifications
Companies Covered
  • Unilever Plc
  • Associated British Foods Plc
  • Tata Consumer Products Limited
  • ITO EN, LTD.
  • Taiwan Tea Corporation
  • Dilmah Ceylon Tea Company PLC.
  • Barry’s Tea
  • SAC Leão
  • The Hain Celestial Group, Inc. 
  • Tenfu's TEA
  • Others
Report Price and Purchase Option Explore our purchase options that are best suited to your resources and industry needs.
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*While we strive to always give you current and accurate information, the numbers depicted on the website are indicative and may differ from the actual numbers in the main report. At Expert Market Research, we aim to bring you the latest insights and trends in the market. Using our analyses and forecasts, stakeholders can understand the market dynamics, navigate challenges, and capitalize on opportunities to make data-driven strategic decisions.*

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Key Questions Answered in the Report

The tea market was valued at USD 52.83 billion in 2023.

The tea market is projected to grow at a CAGR of 6.2% between 2024 and 2032.

The revenue generated from the market is expected to reach USD 90.78 billion in 2032.

The major drivers aiding the growth of the market include rising disposable incomes, increasing population, increasing demand for healthier beverages, RTD (Ready-to-drink) teas, growing food and beverage industry, and rising demand from the developing regions.

The key trend guiding the growth of the tea market include the availability of tea in different flavours, which satisfies every consumer’s taste.

The market is broken down into North America, Europe, Asia Pacific, Latin America, and Middle East and Africa.

The market is categorised according to the type, which includes black, green, oolong, white, and others.

Plastic containers, loose tea, paper boards, aluminium tins, and tea bags, among others, are the significant packaging types for the product in the market.

Based on the distribution channel, the market is divided into supermarkets and hypermarkets, convenience stores, speciality stores, online, and others.

Based on the application, the market is divided into commercial and residential.

Dilmah Ceylon Tea Company PLC., Barry’s Tea, Tata Consumer Products Limited, The Hain Celestial Group, Inc, Unilever Plc, Associated British Foods Plc, ITO EN, LTD., Taiwan Tea Corporation, SAC Leão, and Tenfu's TEA, among others.

The market is categorised according to the source, which includes organic and conventional.

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